Morning Brief: Nifty Jumps 1.09% to 24,334; DIIs Net Buyers Amid Rising Inflation Concerns | 20 Jul 2026, 08:15 AM IST

By ThePip DeskMorning Brief: Nifty Jumps 1.09% to 24,334; DIIs Net Buyers Amid Rising Inflation Concerns | 20 Jul 2026, 08:15 AM IST

Indian equities saw Nifty climb over 1% to 24,334, supported by domestic institutional buying. Inflation remains a key concern with WPI at 9.87% and CPI at 4.38%.

Indian benchmark indices recorded a strong session on Friday, with the Nifty 50 closing above 24,300, driven by robust buying from Domestic Institutional Investors (DIIs). The Nifty Bank index also saw significant gains, while the broader Nifty Midcap 100 experienced a slight dip.

Market Snapshot

IndexLast
Nifty 5024,334.30 (+1.09%)
Nifty Bank58,521.40 (+1.63%)
Nifty Midcap 10062,428.05 (-0.41%)

Institutional Flows

Foreign Institutional Investors (FIIs) continued their selling streak, offloading equities worth ₹376.41 crore on Friday. However, Domestic Institutional Investors (DIIs) provided strong support, pumping in ₹1,017.89 crore, cushioning the market from deeper cuts.

DateFII Net (₹ Cr)DII Net (₹ Cr)
2026-07-17-376.411,017.89
2026-07-16-4,205.562,986.41
2026-07-15-735.83704.93
2026-07-14-739.692,927.71
2026-07-13-3,062.272,171.70

SEBI data indicates FIIs were net sellers in equities by ₹3,179.96 crore on July 17, while also showing net outflow in debt of ₹151.2 crore.

DateEquity Net (₹ Cr)Debt Net (₹ Cr)
2026-07-17-3,179.96-151.20
2026-07-16-482.06199.24
2026-07-15-233.91297.20

Sector Performance

IT and Financial Services sectors led the gains, while Pharma saw some profit booking.

SectorLast
Nifty IT29,226.60 (+1.75%)
Nifty Bank58,521.40 (+1.63%)
Nifty Realty918.70 (+1.39%)
Nifty Financial Services26,903.35 (+1.31%)
Nifty Auto27,099.75 (+1.24%)
Nifty FMCG48,748.70 (+0.70%)
Nifty PSU Bank8,381.75 (+0.41%)
Nifty Pharma25,645.00 (-1.40%)

Top Movers

Tech Mahindra and Kotak Mahindra Bank were among the top Nifty 50 gainers, while Hindalco and Dr. Reddy’s Laboratories led the losers.

Gainers

SymbolCompanyLast
TECHMTech Mahindra Ltd.1,572.90 (+4.14%)
KOTAKBANKKotak Mahindra Bank Ltd.389.95 (+3.39%)
JIOFINJIO Financial Services Ltd.242.98 (+3.11%)
TCSTata Consultancy Services Ltd.2,269.00 (+3.09%)
RELIANCEReliance Industries Ltd.1,327.20 (+2.36%)

Losers

SymbolCompanyLast
HINDALCOHindalco Industries Ltd.944.15 (-1.58%)
DRREDDYDr. Reddy’s Laboratories Ltd.1,211.20 (-1.08%)
WIPROWipro Ltd.176.00 (-0.98%)
SUNPHARMASun Pharmaceutical Industries Ltd.1,932.60 (-0.90%)
MAXHEALTHMax Healthcare Institute Ltd.1,089.90 (-0.76%)

Economy & Macro

  • India and the EU are expected to sign a Free Trade Agreement (FTA) by the end of 2026, aiming for 93% of Indian exports to gain duty-free access to the EU bloc.
  • Crisil has warned of a potential medium-term funding gap, advocating for the development of the corporate debt market, which currently accounts for only 22% of total debt outstanding as of the end of FY26.
  • The Comprehensive Economic and Trade Agreement (CETA) between India and the UK is set to be implemented from July 15, 2026, targeting a boost in bilateral trade to $100 billion by 2030.
  • The government aims to increase India’s food processing level to 25% by 2031, up from 17% in 2023.
  • Crisil Ratings projects muted revenue growth for India’s IT services sector this fiscal and the next, citing AI disruptions and weak discretionary spending.
  • NITI Aayog forecasts India’s bioeconomy to reach $691 billion by 2035 and $2.6 trillion by 2047.

Inflation Watch

India’s wholesale price index (WPI) inflation remained elevated at 9.87% in June 2026, up from 9.68% in May, driven by spikes in food, non-food articles, and minerals. Retail inflation, measured by CPI, jumped to 4.38% in June from 3.93% in May, breaching the RBI’s medium-term target of 4% for the fifth consecutive month, primarily due to higher food prices.

Bond Markets

Bond yields traded marginally higher on Friday, with yields on the new 10-year Government Stock rising 01 basis point to 6.76% from its previous close of 6.75%.

Corporate & Earnings News

  • VA Tech Wabag Ltd.: Received a new order.
  • Life Insurance Corporation of India (LICI): Announced a change in management.
  • JK Lakshmi Cement Ltd.: Issued a clarification regarding a proxy advisory report.
  • Federal Bank: Reported a 37% rise in Q1 consolidated net profit, with total income increasing by 7.55% to ₹8,943.11 crore.
  • Jindal Worldwide: Its arm is set to commence commercial operations with its maiden electric scooter, R40.
  • Orkla India: Business unit launched a new Protein Breakfast Range.
  • Bharat Heavy Elect., Borosil Renewables, NELCO: Announced their quarterly results.

IPO Watch

Several IPOs are currently open or slated to open this week, offering new investment opportunities:

Currently Open IPOs

  • Sotefin Bharat Ltd.: Open from July 16 to July 20, with a price band of ₹178-187.
  • Caliber Mining and Logistics Ltd.: Open from July 17 to July 21, with a price band of ₹402-424.
  • Gulf Lloyds (India) Ltd.: Opens today, July 20, and closes on July 22, with a minimum price of ₹100.

Upcoming IPOs

  • Metalic Technoforge Ltd.: Opens July 21 and closes July 23, with a price band of ₹72-77.
  • Shree Balaji (Mala) Textiles Ltd.: Opens July 22 and closes July 24, with a price band of ₹66-70.
  • Cube Highways Trust: Opens July 22 and closes July 24, with a price band of ₹151-152.
  • Xtranet Technologies Ltd.: Opens July 23 and closes July 27, with a price band of ₹120-127.

DII buying continues to be a crucial support for Indian equities, helping to absorb FII selling pressure and maintain market momentum.

The persistent rise in both wholesale and retail inflation highlights ongoing price pressures, which could influence future monetary policy decisions by the RBI.

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